diff --git a/packages/app/e2e/mobile/timeline-status/placement.mjs b/packages/app/e2e/mobile/timeline-status/placement.mjs
new file mode 100644
index 0000000000..8317c9e152
--- /dev/null
+++ b/packages/app/e2e/mobile/timeline-status/placement.mjs
@@ -0,0 +1,54 @@
+// Open an existing compact chat, with the keyboard closed, then interrupt its host connection.
+// Hold that interruption externally (for example, stop a disposable SSH TCP forward).
+// Leave the daemon running. This test observes the public reconnecting state.
+// node placement.mjs <session> <platform> <coordinate-scale> <composer-label> <artifacts>
+// coordinate-scale is screenshot pixels per layout point (Android density; iOS snapshots use 1).
+import assert from "node:assert/strict";
+import { execFileSync } from "node:child_process";
+import { mkdirSync, writeFileSync } from "node:fs";
+import path from "node:path";
+
+const [, , session, platform, coordinateScale, composerLabel, artifacts] = process.argv;
+assert(
+  session && ["android", "ios"].includes(platform) && composerLabel && artifacts,
+  "Pass all five arguments",
+);
+const scale = Number(coordinateScale);
+assert(scale > 0, "Pass a positive coordinate scale");
+mkdirSync(artifacts, { recursive: true });
+function ad(...args) {
+  return execFileSync("agent-device", ["--session", session, "--platform", platform, ...args], {
+    encoding: "utf8",
+    timeout: 90_000,
+  });
+}
+function capture(name) {
+  const snapshot = ad("snapshot", "--raw", "--json");
+  writeFileSync(path.join(artifacts, `${name}.json`), snapshot);
+  ad("screenshot", path.join(artifacts, `${name}.png`));
+  const nodes = JSON.parse(snapshot).data.nodes;
+  const header = nodes.find((node) => node.identifier === "floating-header");
+  const toast = nodes.find((node) => node.identifier === "agent-reconnecting-toast");
+  assert(header?.rect && toast?.rect, "Measured header and reconnecting toast must be present");
+  assert(toast.rect.height > 0 && toast.rect.width > 0, "Toast must have visible bounds");
+  const gap = (toast.rect.y - header.rect.y - header.rect.height) / scale;
+  assert(Math.abs(gap - 12) <= 1, `${name}: actual header-to-toast gap ${gap}, expected12 points`);
+  return toast.rect.y / scale;
+}
+
+ad("wait", 'id="agent-reconnecting-toast"', "20000");
+const closedTop = capture("keyboard-closed");
+ad("press", `label=${JSON.stringify(composerLabel)}`);
+const opened = ad("snapshot", "--raw", "--json");
+const nodes = JSON.parse(opened).data.nodes;
+assert(
+  nodes.some(
+    (node) => /keyboard/i.test(node.type ?? "") || /inputmethod/i.test(node.bundleId ?? ""),
+  ),
+  "Use a real visible software keyboard; open Android sessions with --no-test-ime",
+);
+const openTop = capture("keyboard-open");
+assert(Math.abs(openTop - closedTop) <= 1, "Keyboard must not translate the toast");
+console.log(
+  "PASS: rendered reconnecting toast stays12 points below measured header, keyboard closed/open",
+);
diff --git a/packages/app/src/components/floating-header/index.tsx b/packages/app/src/components/floating-header/index.tsx
index 6e4cd525f1..cd59ec4d30 100644
--- a/packages/app/src/components/floating-header/index.tsx
+++ b/packages/app/src/components/floating-header/index.tsx
@@ -1,8 +1,26 @@
-import { useCallback, useState, type ReactNode } from "react";
+import { createContext, useContext, useCallback, useState, useId, type ReactNode } from "react";
 import { View, type LayoutChangeEvent } from "react-native";
 import { StyleSheet } from "react-native-unistyles";
+import { Portal, PortalHost } from "@gorhom/portal";
+import { useRetainedPanelActive } from "@/components/retained-panel";
 import { EdgeFade } from "@/components/ui/edge-fade";
 
+const OverlayClearanceContext = createContext(0);
+const OverlayHostContext = createContext<string | null>(null);
+
+/** Keep status overlays above the fade without lifting the scrolling content. */
+export function FloatingHeaderOverlay({ children }: { children: ReactNode }) {
+  const hostName = useContext(OverlayHostContext);
+  const active = useRetainedPanelActive();
+  if (!hostName) return children;
+  return active ? <Portal hostName={hostName}>{children}</Portal> : null;
+}
+
+/** Clearance for stationary overlays inside this layout, measured to the header bottom. */
+export function useFloatingHeaderOverlayClearance(): number {
+  return useContext(OverlayClearanceContext);
+}
+
 /** How far the fade runs past the header's bottom edge, so content dissolves instead of clipping. */
 const FADE_OVERHANG = 48;
 /** Share of the fade that stays opaque, so the header's title and icons keep contrast. */
@@ -20,15 +38,24 @@ interface FloatingHeaderLayoutProps {
  * same tree position in both modes, so toggling `floating` never remounts them.
  */
 export function FloatingHeaderLayout({ header, floating, children }: FloatingHeaderLayoutProps) {
+  const overlayHostName = useId();
   const [headerHeight, setHeaderHeight] = useState(0);
   const handleHeaderLayout = useCallback((event: LayoutChangeEvent) => {
     setHeaderHeight(Math.round(event.nativeEvent.layout.height));
   }, []);
 
+  const overlayClearance = floating ? headerHeight : 0;
+
   return (
     <View style={styles.root}>
       {floating ? null : header}
-      <View style={styles.content}>{children(floating ? headerHeight : 0)}</View>
+      <View style={styles.content}>
+        <OverlayClearanceContext.Provider value={overlayClearance}>
+          <OverlayHostContext.Provider value={floating ? overlayHostName : null}>
+            {children(floating ? headerHeight : 0)}
+          </OverlayHostContext.Provider>
+        </OverlayClearanceContext.Provider>
+      </View>
       {floating ? (
         <View style={styles.overlay} pointerEvents="box-none">
           <EdgeFade
@@ -37,11 +64,19 @@ export function FloatingHeaderLayout({ header, floating, children }: FloatingHea
             backdrop="surfaceWorkspace"
             style={styles.fade}
           />
-          <View pointerEvents="box-none" onLayout={handleHeaderLayout}>
+          <View
+            testID="floating-header"
+            collapsable={false}
+            pointerEvents="box-none"
+            onLayout={handleHeaderLayout}
+          >
             {header}
           </View>
         </View>
       ) : null}
+      <View style={styles.statusOverlay} pointerEvents="box-none">
+        <PortalHost name={overlayHostName} />
+      </View>
     </View>
   );
 }
@@ -55,6 +90,13 @@ const styles = StyleSheet.create({
     flex: 1,
     minHeight: 0,
   },
+  statusOverlay: {
+    position: "absolute",
+    top: 0,
+    bottom: 0,
+    left: 0,
+    right: 0,
+  },
   overlay: {
     position: "absolute",
     top: 0,
diff --git a/packages/app/src/components/toast-host.tsx b/packages/app/src/components/toast-host.tsx
index d9c8001f50..62a15bad04 100644
--- a/packages/app/src/components/toast-host.tsx
+++ b/packages/app/src/components/toast-host.tsx
@@ -1,3 +1,7 @@
+import {
+  FloatingHeaderOverlay,
+  useFloatingHeaderOverlayClearance,
+} from "@/components/floating-header";
 import { useCallback, useEffect, useMemo, useRef, useState, type ReactNode } from "react";
 import { createPortal } from "react-dom";
 import {
@@ -190,9 +194,11 @@ export function ToastViewport({
     return clearTimer;
   }, [clearTimer, durationMs, scheduleDismiss, toastId]);
 
+  const panelClearance = useFloatingHeaderOverlayClearance();
   const headerHeight = isMobile ? HEADER_INNER_HEIGHT_MOBILE : HEADER_INNER_HEIGHT;
   const headerTopPadding = isMobile ? HEADER_TOP_PADDING_MOBILE : 0;
-  const topOffset = placement === "app-shell" ? insets.top + headerTopPadding + headerHeight : 0;
+  const topOffset =
+    placement === "app-shell" ? insets.top + headerTopPadding + headerHeight : panelClearance;
 
   const content = (
     <View
@@ -220,7 +226,7 @@ export function ToastViewport({
     return createPortal(content, getOverlayRoot());
   }
 
-  return content;
+  return placement === "panel" ? <FloatingHeaderOverlay>{content}</FloatingHeaderOverlay> : content;
 }
 
 function ToastCard({
diff --git a/packages/app/src/composer/dock/index.native.tsx b/packages/app/src/composer/dock/index.native.tsx
index 4b6407c872..e3720ccbee 100644
--- a/packages/app/src/composer/dock/index.native.tsx
+++ b/packages/app/src/composer/dock/index.native.tsx
@@ -179,8 +179,8 @@ export function ComposerDock({
               <View style={fullscreen ? fullscreenSurface : dockStyles.composer}>{composer}</View>
             </ComposerViewportContent>
           </ComposerViewportContent>
-          {overlay}
         </KeyboardTranslateView>
+        {overlay}
       </ComposerViewport>
     );
   }
@@ -214,8 +214,8 @@ export function ComposerDock({
             {composer}
           </View>
         </ComposerViewportContent>
-        {overlay}
       </KeyboardTranslateView>
+      {overlay}
     </ComposerViewport>
   );
 }
diff --git a/packages/app/src/composer/dock/overlay-placement.test.ts b/packages/app/src/composer/dock/overlay-placement.test.ts
new file mode 100644
index 0000000000..da4262af12
--- /dev/null
+++ b/packages/app/src/composer/dock/overlay-placement.test.ts
@@ -0,0 +1,31 @@
+import { readFileSync } from "node:fs";
+import ts from "typescript";
+import { expect, it } from "vitest";
+
+it("keeps dock overlays outside keyboard translation in every native layout", () => {
+  const source = ts.createSourceFile(
+    "dock.tsx",
+    readFileSync(new URL("./index.native.tsx", import.meta.url), "utf8"),
+    ts.ScriptTarget.Latest,
+    true,
+    ts.ScriptKind.TSX,
+  );
+  let surfaces = 0;
+  function visit(node: ts.Node) {
+    if (
+      ts.isJsxElement(node) &&
+      node.openingElement.tagName.getText(source) === "KeyboardTranslateView"
+    ) {
+      surfaces++;
+      function assertStationary(child: ts.Node) {
+        if (ts.isJsxExpression(child))
+          expect(child.expression?.getText(source)).not.toBe("overlay");
+        ts.forEachChild(child, assertStationary);
+      }
+      ts.forEachChild(node, assertStationary);
+    }
+    ts.forEachChild(node, visit);
+  }
+  visit(source);
+  expect(surfaces).toBe(2);
+});